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Forex pairs in this Article » EUR/USD
FXstreet.com (Barcelona) - The EURUSD has fully retraced its early week gains after being capped by psychological level at 1.3400, with the rally from 1.3343 (Friday's close) to 1.3404 high being erased throughout the Asian session and the European opening.

Germany Wholesale Price Index didn't change in December, neither monthly nor yearly, keeping its annualized figure at 3.2%, instead of rising to 3.3% as expected. That and the equity market bell send the EURUSD down to 1.3348 session low. The pair is currently trading above 1.3350. Ahead is EMU industrial production and Italy industrial output data.

The breach above 1.3308 high "introduced scope for a rally towards tough long term resistance at 1.3485/1.3560 this is the location of the 2012 high, a double Fibonacci retracement the 200 week moving average and the 200 MONTH moving average", wrote Commerzbank analyst Karen Jones, expecting failure there, and support at 1.3250/00 to keep the market bid. "Below would simply leave it ranging and heading back to the base of the channel at 1.3047", Jones concluded, pointing to key support at 1.3009/00 (6 month uptrend).
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